Non-consolidated Financial Results
for the Six Months Ended September 30, 2023
(Under Japanese GAAP)
October 30, 2023
Company name:
Mito Securities Co., Ltd.
Listing:
Tokyo Stock Exchange
Securities code:
8622
URL:
https://www.mito.co.jp/
Representative:
Katsunori Kobayashi, President and Representative Director
Contact:
Masanobu Tamari, Manager, Finance Department
Phone:+81-3-6636-3071
Scheduled filing date of Quarterly Securities Report (Shihanki Hokokusho):November 10, 2023
December 4, 2023
Scheduled date of dividend payment:
Preparation of supplementary briefing material on quarterly financial results:
None
Investors meeting presentation for quarterly financial results:
None(Note) Amounts less than one million yen have been omitted.
1. Non-consolidated financial results for the six months ended September 30, 2023
(from April 1, 2023 to September 30, 2023)(1) Operating results(Percentages indicate year-on-year changes.)

Six months ended
September 30, 2023
September 30, 2022

Operatingrevenue
Millions of
yen

6,990
5,770

Net operating
Operating profit
Ordinary profit
Profitrevenue% Millions of% Millions of% Millions of% Millions of
yen
yen
yen
yen

21.1
(19.6)

6,962
5,742

Basic earnings
per share

Six months ended
September 30, 2023
September 30, 2022

21.2
(19.7)

1,042
(34)

－
－

1,273
238

435.0
(81.0)

1,045
169

%

516.0
(81.4)

Diluted earnings
per share
Yen

Yen

16.18
2.64

–
–

(2) Non-consolidated financial position
As of
September 30, 2023
March 31, 2023

Total assets
Millions of yen

Net assets
Millions of yen

69,40961,56440,09039,024

Reference: Capital (Shareholders’ equity + Valuation and translation adjustments):
As of September 30, 2023: ¥40,090 million
As of March 31, 2023:

Capital ratio%

Capital adequacy ratio
%

57.8
63.4

741.9
695.7

¥39,024 million

2. DividendsFirstquarter-end
Fiscal year
Ended March 31, 2023
Ending March 31, 2024
Ending March 31, 2024 (forecast)

Yen

–
–

Annual dividends per share
SecondThird
Fiscalquarter-end
quarter-end
year-end

Total

Yen

Yen

Yen

Yen

2.00
10.00

–

20.00

22.00

–

–

–

(Note) Although we have yet to determine the year-end dividend forecast for the fiscal year ending March 31, 2024, the Company has set
a minimum annual dividend of ¥20.00 from the fiscal year ended March 2023 to the fiscal year ending March 2025.

3. Forecast of non-consolidated financial results for the fiscal year ending March 31, 2024
(from April 1, 2023 to March 31, 2024)
We do not disclose earnings forecast because our earnings could fluctuate greatly depending on the stock market
trend and other factors.
We will promptly disclose the preliminary results figures when the operating results will be substantially
finalized.

[Notes](1) Application of accounting methods used specifically for preparing the quarterly non-consolidated financial
statements:
None(2) Changes in accounting policies, changes in accounting estimates and restatements of prior period financial
statements(i) Changes in accounting policies due to application of new or revised accounting standards: None(ii) Changes in accounting policies due to reasons other than above (i):None(iii) Changes in accounting estimates:None(iv) Restatements of prior period financial statements:
None(3) Number of shares issued (common stock)(i) Number of shares issued at the end of the period (including treasury shares)
As of September 30, 2023:
70,689,033 shares
As of March 31, 2023:
70,689,033 shares(ii) Number of treasury shares at the end of the period
As of September 30, 2023:
6,059,892 shares
As of March 31, 2023:
6,061,329 shares(iii) Average number of shares of common stock during the period
Six months ended September 30, 2023:
64,627,695 shares
Six months ended September 30, 2022:
64,241,718 shares
Note: The number of treasury shares at the end of the period includes the shares of the Company’s stock
held by Custody Bank of Japan, Ltd. (Trust Account E) as trust assets for Board Benefit Trust (BBT)and Employee Stock Ownership Plan (J-ESOP). In addition, the number of treasury shares, which
was to be deducted from the calculation of the average number of shares of common stock during theperiod, includes the shares of the Company’s stock held by Custody Bank of Japan, Ltd. (Trust
Account E) as trust assets for BBT and J-ESOP.
* This financial results report is not subject to quarterly review procedures to be performed by certified public
accountants or an audit firm.
* Explanation on appropriate use of earnings forecast and other special notes(Reason for not disclosing dividend forecast, etc.)
We have adopted a basic policy of maintaining approximately a 50-percent dividend payout ratio by taking into account
payout consistency, net asset position, and other managerial judgments based on our corporate philosophy of striving
to act in the best interest of our shareholders.
As described in “3. Forecast of non-consolidated financial results for the fiscal year ending March 31, 2024 (from
April 1, 2023 to March 31, 2024),” we have yet to determine the year-end dividend forecast for the fiscal year ending
March 31, 2024 due to difficulty in forecasting earnings. However, for the three fiscal years under the Sixth Mediumterm Management Plan (from the fiscal year ended March 2023 to the fiscal year ending March 2025), the Company
would like to express its gratitude to shareholders for their support thus far and has decided to set the minimum annual
dividend per share at ¥20.00, taking into account the current state of net assets. We will promptly disclose the forecast
amount at the timing when the second quarter-end and the fiscal year-end approach (during September 2023 andMarch 2024).

Contents of Attached Materials
1. Overview of operating results, etc. ······················································································· 2(1) Quarterly overview of operating results ·········································································

2(2) Quarterly overview of financial position ········································································

3(3) Quarterly overview of cash flows ················································································· 4(4) Outlook ················································································································

4

2. Quarterly non-consolidated financial statements and significant notes············································· 5(1) Quarterly non-consolidated balance sheets····································································

5(2) Quarterly non-consolidated statements of income ···························································

7

For the six months ended September 30, 2022 and 2023 ·····················································

7(3) Quarterly non-consolidated statements of cash flows························································ 8(4) Notes to quarterly non-consolidated financial statements··················································· 10
Going concern assumption ························································································

10

Significant changes in shareholders’ equity·····································································

10

3. Supplemental information································································································· 10(1) Commission received····························································································· 10(2) Net trading income································································································ 10(3) Stock trading volume (excluding futures trading)···························································· 11(4) Dealing volume of underwriting, offering and secondary distribution ···································· 11(5) Capital adequacy ratio ··························································································· 11(6) Quarterly trends of operating results ··········································································· 12-1-1. Overview of operating results, etc.
(1) Quarterly overview of operating results
During the first six months ended September 30, 2023 (hereinafter the “period under review”), Japan’s economy
was on an expansionary trend, with both nominal and real gross domestic product (GDP) showing positive yearon-year growth for three consecutive quarters until, and including, the April-June period of 2023, with GDP(annualized) for the same period reaching ¥589 trillion in nominal terms and ¥558 trillion in real terms, bothreaching record highs. In addition, while the consumer price index (composite, excluding fresh food and energy)
has continued to rise more than 4% year-on-year since April, real disposable income of working households hasremained negative year-on-year since October 2022, resulting in a situation where the overall economic trend andthe actual living experience diverge. In the U.S. economy, real GDP has been on an expansionary trend withpositive growth for four consecutive quarters until, and including, the April-June period of 2023, but the Federal
Reserve Board (FRB) left its policy rate unchanged at the Federal Open Market Committee (FOMC) meeting in
September as the pace of consumer price increases slowed. In Europe, the European Central Bank (ECB) continued
to raise interest rates in response to rising prices amid two consecutive quarters of slightly positive real GDP growthin the January–March and April–June periods of 2023. However, the eurozone economic sentiment indicatorremained on a downward trend and the M3 money supply dropped to a record low in August, raising concerns
about a future economic slump.
During the period under review, the domestic stock market was on an upward trend until mid-June, but
subsequently remained range-bound. The Tokyo Stock Exchange's request for improvement in low P/B ratios, aprominent U.S. investor known for his long-term investments in undervalued stocks who has announced his
intention to make additional investments in Japanese stocks, and the yen's depreciation provided a tailwind, but the
Bank of Japan’s decision to flexibly manage long- and short-term interest rates at its monetary policy meeting inlate July, concerns about the outlook for the Chinese economy, rising U.S. long-term interest rates, and rising oil
prices all weighed on the market. Reflecting these conditions, the Nikkei ended the period under review at¥31,857.62, up 13.6% from the end of March 2023.
Under these circumstances, we reported increases in both operating revenue and net operating revenue during theperiod under review, with operating revenue of ¥6,990 million (up 21.1% year-on-year) and net operating revenueof ¥6,962 million (up 21.2% year-on-year), which is the amount of operating revenue less financial expenses of¥27 million (up 1.2% year-on-year). Furthermore, selling, general and administrative expenses were ¥5,920 million(up 2.5% year-on-year). As a result, we reported an operating profit of ¥1,042 million (compared to an operating
loss of ¥34 million for the same period a year earlier), and an ordinary profit of ¥1,273 million (up 435.0% yearon-year). After extraordinary income of ¥237 million (compared to ¥– million for the same period a year earlier),
extraordinary losses of ¥6 million (compared to ¥56 million for the same period a year earlier), and tax expensesof ¥459 million (up 3,627.8% year-on-year), profit was ¥1,045 million (up 516.0% year-on-year).
Overview of the operating results are as shown below.
(i) Commission received
For the period under review, total “Commission received” was ¥6,004 million (up 22.4% year-on-year).
(a) Brokerage commission“Brokerage commission” was ¥2,642 million (up 36.9% year-on-year). This was mainly due to an increase to¥498.6 billion (up 34.3% year-on-year) in the volume of stock brokered, resulting in brokerage commission
on stocks of ¥2,631 million (up 38.0% year-on-year). Meanwhile, brokerage commission of beneficiary
certificates was ¥10 million (down 54.9% year-on-year).
(b) Commission for underwriting, secondary distribution and solicitation for selling and others for professional
investors“Commission for underwriting, secondary distribution and solicitation for selling and others for professional
investors” was ¥9 million (up 154.6% year-on-year).
(c) Fees for offering, secondary distribution and solicitation for selling and others for professional investors; andother fees received“Fees for offering, secondary distribution and solicitation for selling and others for professional investors,”
which mainly consist of investment trust sales commissions, were ¥1,450 million (up 19.2% year-on-year).
This was due to strong sales of investment trusts that invest in mid-cap stocks listed on Indian exchanges,
investment trusts that actively invest in stocks with high expected dividend yields in Japan with the goal ofgrowing investment trust assets, and investment trusts that invest mainly in Japanese companies with advanced
technology and brand power that are expected to be active globally in the future. In addition, “Other fees
received” were ¥1,901 million (up 8.5% year-on-year) mainly due to increases in commission for mutual fundwraps and agency commission for investment trusts.
-2-

(ii) Net trading income
For the period under review, “Net trading income” was ¥834 million (up 9.9% year-on-year) consisting of net
trading income for stocks of ¥741 million (up 38.4% year-on-year) due to an increase in the trading volume of US
stocks and net trading income for bonds and foreign exchange of ¥93 million (down 58.2% year-on-year).
(iii) Financial revenue and expenses
For the period under review, “Financial revenue” was ¥70 million (up 58.8% year-on-year) due to an increase ininterest income, and “Financial expenses” were ¥14 million (up 11.6% year-on-year) due to an increase in the costof margin transactions, resulting in a net profit of ¥56 million (up 78.0% year-on-year).
(iv) Selling, general and administrative expenses
For the period under review, “Selling, general and administrative expenses” were ¥2,963 million (up 3.1% yearon-year). This was mainly attributable to a decrease in “Real estate expenses” and an increase in “Personnel
expenses” such as addition to provision for bonuses due to higher operating revenue.
(v) Extraordinary income and losses
For the period under review, “Extraordinary income” consisted of ¥224 million in “Gain on sale of investment
securities” (compared to ¥– million for the same period a year earlier) and ¥9 million in “Reversal of reserve forfinancial instruments transaction liabilities” (compared to ¥– million for the same period a year earlier).
“Extraordinary losses” was ¥6 million (compared to ¥– million for the same period a year earlier), and consisted
solely of “Impairment loss.” As a result, net extraordinary income was ¥227 million (net losses of ¥0 million forthe same period a year earlier).
(2) Quarterly overview of financial position(i) Current assets
At the end of the period under review, “Current assets” amounted to ¥54,363 million, an increase of ¥5,939 million
from the end of the previous fiscal year. This was mainly attributable to increases of ¥3,305 million in “Cash paidfor offering,” ¥2,310 million in “Cash segregated as deposits,” and ¥1,992 million in “Cash and deposits,” whichwere partially offset by a decrease of ¥1,553 million in “Trading products.”(ii) Non-current assets
At the end of the period under review, “Non-current assets” amounted to ¥13,849 million, an increase of¥709 million from the end of the previous fiscal year. This was mainly attributable to an increase of ¥775 million
in “Investment securities.”(iii) Current liabilities
At the end of the period under review, “Current liabilities” amounted to ¥24,818 million, an increase of¥6,107 million from the end of the previous fiscal year. This was mainly attributable to increases of ¥5,454 million
in “Deposits received,” ¥581 million in “Margin trading liabilities,” ¥163 million in “Income taxes payable,” and¥112 million in “Guarantee deposits received,” which were partially offset by a decrease of ¥245 million in“Borrowings secured by securities.”(iv) Non-current liabilities and reserves under special laws
At the end of the period under review, “Non-current liabilities” and “Reserves under special laws” collectively
amounted to ¥4,308 million, an increase of ¥479 million from the end of the previous fiscal year. This was mainly
attributable to increases of ¥462 million in “Deferred tax liabilities” and ¥31 million in “Provision for share awards
for employees.”(v) Net assets
At the end of the period under review, “Net assets” amounted to ¥39,085 million, an increase of ¥61 million fromthe end of the previous fiscal year. This was mainly attributable to increases of ¥723 million in “Profit” and¥640 million in “Valuation difference on available-for-sale securities,” which were partially offset by a decreaseof ¥1,302 million in “Dividends of surplus.”-3-(3) Quarterly overview of cash flows“Cash and cash equivalents at end of period” of the period under review increased by ¥5,355 million from the end of
the previous fiscal year to ¥27,313 million.
Cash flows from operating activities“Net cash provided by operating activities” for the period under review amounted to ¥5,834 million, an increase of¥4,547 million from ¥1,287 of “Net cash provided by operating activities” for the previous fiscal year. This cash inflow
was mainly attributable to an increase of ¥5,583 million in “Deposits and guarantee deposits received,” an increase of¥1,611 million in “Trading products - assets (liabilities),” and the recording of ¥1,505 million in “Profit before income
taxes,” which were partly offset by a decrease of ¥1,300 million in “Cash segregated as deposits for customers,” adecrease of ¥1,175 million in “Margin transaction assets/liabilities,” and a decrease of ¥462 million in “Deposits paid
for underwritten offering, etc.”
Cash flows from investing activities“Net cash provided by investing activities” for the period under review amounted to ¥726 million, an increase of¥1,290 million from ¥563 million of “Net cash used in investing activities” for the previous fiscal year. This cash inflow
was mainly attributable to “Proceeds from sale of investment securities” of ¥449 million and “Proceeds from refund ofleasehold deposits” of ¥333 million, which were partly offset by “Purchase of property, plant and equipment” of¥44 million.
Cash flows from financing activities“Net cash used in financing activities” for the period under review amounted to ¥1,299 million, a decrease of¥837 million from ¥461 million of “Net cash used in financing activities” for the previous fiscal year. This cash outflow
was mainly attributable to “Dividends paid” of ¥1,295 million.
(4) Outlook
We are engaged in the financial instruments business, and thus, its earnings could fluctuate greatly depending on thestock market performance and other factors. We therefore do not disclose earnings forecasts.
Instead, every quarter, we will disclose preliminary forecast figures as soon as the operating results are finalized. The
disclosure of such preliminary figures is scheduled at the end of each quarter or the middle of the month immediately
following the end of each fiscal year.

-4-4. Quarterly non-consolidated financial statements and significant notes(1) Quarterly non-consolidated balance sheets
Previous fiscal year
(As of March 31, 2023)
AssetsCurrent assets:
Cash and deposits
Cash segregated as deposits
Trading products:
Trading securities and other
Derivatives
Trade date accrual
Margin transaction assets:
Margin loans
Cash collateral provided for securities borrowed
in margin transactions
Deposits paid for underwritten offering, etc.
Short-term guarantee deposits
Income taxes refund receivable
Securities
Other current assets
Total current assets
Non-current assets:
Property, plant and equipment:
Buildings
Other, net
Intangible assets
Investments and other assets:
Investment securities
Long-term guarantee deposits
Other
Allowance for doubtful accounts
Total non-current assets
Total assets-5-(Millions of yen)
Current quarter(As of September 30, 2023)

21,958
11,923
1,812
1,812
0
37
6,904
6,766

27,313
13,234
243
242
0
–
8,208
7,935

138

273

1,681
973
250
2,010
869
48,424

2,144
650
0
2,003
921
54,719

3,945
1,921
2,024
257
8,937
8,242
665
46
(17)
13,13961,564

3,839
1,874
1,964
215
10,634
9,937
666
48
(17)
14,68969,409

Previous fiscal year
(As of March 31, 2023)
Liabilities
Current liabilities:
Trade date accrual
Margin transaction liabilities:
Margin borrowings
Cash received for securities sold in margintransactions
Borrowings secured by securities:
Cash collateral received for securities lent
Deposits received
Guarantee deposits received
Short-term borrowings
Income taxes payable
Provision for bonuses
Provision for bonuses for directors (and other officers)
Other current liabilities
Total current liabilities
Non-current liabilities:
Deferred tax liabilities
Provision for retirement benefits
Provision for share awards for employees
Provision for share awards for directors (and otherofficers)
Asset retirement obligations
Other non-current liabilities
Total non-current liabilities
Reserves under special laws:
Reserve for financial instruments transaction liabilities
Total reserves under special laws
Total liabilities
Net assets
Shareholders’ equity:
Share capital
Capital surplus:
Legal capital surplus
Other capital surplus
Total capital surplus
Retained earnings:
Other retained earnings:
General reserve
Retained earnings brought forward
Total retained earnings
Treasury shares
Total shareholders’ equity
Valuation and translation adjustments:
Valuation difference on available-for-sale securities
Total valuation and translation adjustments
Total net assets
Total liabilities and net assets-6-(Millions of yen)
Current quarter(As of September 30, 2023)

–
860
569

4
988
526

291

461

1,942
1,942
11,853
306
2,750
26
408
–
562
18,7101,515
1,515
17,360
382
2,750
535
613
28
705
24,884

1,094
2,137
85

1,670
2,050
188

15

17

327
67
3,727

330
89
4,346

101

88

101
22,54088
29,31912,272

12,272

4,294
1,969
6,264

4,294
1,969
6,264

18,031
7,247
10,78318,031(1,442)35,126

17,774
7,247
10,527
17,774(1,442)
34,8693,897
3,897
39,02461,5645,220
5,220
40,09069,409(2) Quarterly non-consolidated statements of income
For the six months ended September 30, 2023
For the six months ended
September 30, 2022
(From April 1, 2022
to September 30, 2022)
Operating revenue
Commission received:
Brokerage commission
Commission for underwriting, secondary distribution
and solicitation for selling and others for professional
investors
Fee for offering, secondary distribution and solicitation
for selling and others for professional investors
Other commission received
Net trading income
Financial revenue
Other
Total operating revenue
Financial expenses
Net operating revenue
Selling, general and administrative expenses:
Trading related expenses
Personnel expenses
Real estate expenses
Office expenses
Depreciation
Taxes and dues
Other
Total selling, general and administrative expenses
Operating profit (loss)
Non-operating income:
Dividend income
Miscellaneous income
Total non-operating income
Non-operating expenses:
Miscellaneous loss
Total non-operating expenses
Ordinary profit
Extraordinary income:Reversal of reserve for financial instruments transaction
liabilities
Gain on sale of investment securities
Total extraordinary income
Extraordinary losses:
Provision of reserve for financial instruments transaction
liabilities
Impairment loss
Head office relocation expenses
Total extraordinary losses
Profit before income taxes
Income taxes - current
Income taxes - deferred
Total income taxes
Profit-7-(Millions of yen)
For the six months ended
September 30, 2023
(From April 1, 2023
to September 30, 2023)

4,904
1,930

6,004
2,642

3

9

1,217

1,450

1,752
759
93
13
5,770
27
5,742

1,901
834
139
12
6,990
27
6,962

479
3,199
775
870
226
112
113
5,776
(34)

540
3,455
657
853
180
132
101
5,920
1,042

184
88
272

137
98
235

0
0
238

4
4
1,273

–

13

–
–

224
237

0

–

–
56
56
182
12
0
12
169

6
–
6
1,505
473
(14)
459
1,045

(3) Quarterly non-consolidated statements of cash flows
For the six months ended
September 30, 2022
(From April 1, 2022
to September 30, 2022)
Cash flows from operating activities:
Profit before income taxes
Depreciation
Impairment loss
Increase (decrease) in provision for retirement benefits
Increase (decrease) in provision for bonuses
Increase (decrease) in provision for bonuses for directors (and otherofficers)
Increase (decrease) in provision for share-based remuneration for
employees
Increase (decrease) in provision for share-based remuneration for
directors (and other officers)
Increase (decrease) in reserve for financial instruments transaction
liabilities
Interest and dividend income
Interest expenses
Loss (gain) on sale of investment securities
Head office relocation expenses
Decrease (increase) in cash segregated as deposits for customers
Decrease (increase) in trading products - assets (liabilities)
Decrease/increase in margin transaction assets/liabilities
Decrease (increase) in short-term guarantee deposits
Decrease (increase) in deposits paid for underwritten offering, etc.
Increase (decrease) in borrowings secured by securities
Increase (decrease) in deposits and guarantee deposits received
Decrease (increase) in advance paid
Increase/decrease in other assets/liabilities
SubtotalInterest and dividends received
Interest paid
Head office relocation expenses paid
Income taxes paid
Income taxes refund
Net cash provided by (used in) operating activities
Cash flows from investing activities:
Purchase of investment securities
Proceeds from sale of investment securities
Purchase of property, plant and equipment
Purchase of intangible assets
Payments for retirement of property, plant and equipment
Payments for asset retirement obligations
Loan advances
Proceeds from collection of loans receivable
Proceeds from refund of leasehold deposits
Payments of leasehold deposits
Other, net
Net cash provided by (used in) investing activities-8-(Millions of yen)
For the six months ended
September 30, 2023
(From April 1, 2023
to September 30, 2023)

182
226
–
(20)
(65)

1,505
180
6
(87)
205

5

28

(244)

103

(0)

2

0

(13)

(279)
27
–
56
1,400
(1,400)
1,116
38
(923)
279
482
307
(16)
1,171
281
(26)
(36)
(102)
–
1,287

(279)
27
(224)
–
(1,300)1,611(1,175)
(3)
(462)
(426)
5,583
(178)
234
5,334
266
(27)
–
(39)
300
5,834

(114)
–
(220)
(58)
(12)
(11)
(7)
7
6
(154)
2
(563)

–
449
(44)
(2)
(2)
–
(1)
4
333
(6)
(2)
726

For the six months ended
September 30, 2022
(From April 1, 2022
to September 30, 2022)
Cash flows from financing activities:
Purchase of treasury shares
Dividends paid
Other, net
Net cash provided by (used in) financing activities
Effect of exchange rate change on cash and cash equivalents
Net increase (decrease) in cash and cash equivalents
Cash and cash equivalents at beginning of period
Cash and cash equivalents at end of period

(69)
(389)
(3)
(461)
229
491
22,723
23,214-9-(Millions of yen)
For the six months ended
September 30, 2023
(From April 1, 2023
to September 30, 2023)(0)(1,295)(3)(1,299)93
5,355
21,95827,313

(4) Notes to quarterly non-consolidated financial statements
Going concern assumption
Not applicable.
Significant changes in shareholders’ equity
Not applicable.
5. Supplemental information(1) Commission received(i) Commission by line item
(Millions of yen)

Brokerage commission:
StocksBeneficiary certificates
Commission for underwriting, secondary
distribution and solicitation for sellingand others for professional investors:
Stocks
Bonds
Fee for offering, secondary distribution
and solicitation for selling and others for
professional investors
Other commission received
Total

For the six months ended
September 30, 2022
(From April 1, 2022
to September 30, 2022)
1,930[1,907][22]

For the six months ended
September 30, 2023
(From April 1, 2023
to September 30, 2023)
2,642[2,631][10]Year-on-yearchange (%)
136.9
138.0
45.1

3

9

254.6

[3]
[0]

[4]
[5]

140.3
812.4

1,217

1,450

119.2

1,752
4,904

1,901
6,004

108.5
122.4

(ii) Commission by product(Millions of yen)

Stocks
Bonds
Beneficiary certificates
Other
Total

For the six months ended
September 30, 2022
(From April 1, 2022
to September 30, 2022)
1,915
1
2,967
19
4,904

For the six months ended
September 30, 2023
(From April 1, 2023
to September 30, 2023)
2,641
5
3,340
16
6,004

For the six months ended
September 30, 2022
(From April 1, 2022
to September 30, 2022)
535
223
[194]
[28]
759

For the six months ended
September 30, 2023
(From April 1, 2023
to September 30, 2023)
741
93
[(3)]
[97]
834

Year-on-yearchange (%)
137.9
473.4
112.6
81.2
122.4

(2) Net trading income(Millions of yen)

Stocks, etc.
Bonds, foreign exchange, etc.:
Bonds, etc.
Foreign exchange, etc.
Total

- 10 -

Year-on-yearchange (%)
138.4
41.8
–
336.3
109.9

(3) Stock trading volume (excluding futures trading)

Total:
Brokerage
Dealing
Brokerage (%)
Exchange participation share (%)
Brokerage commission per stock on clienttransaction (yen)For the six months ended
September 30, 2022
(From April 1, 2022
to September 30, 2022)
NumberAmountof shares
198
409,813[196][371,259][1][38,554]
99.0
0.05

90.6
0.04

(Millions of shares, Millions of yen)
For the six months ended
September 30, 2023
Year-on-year change (%)(From April 1, 2023
to September 30, 2023)
NumberNumberAmountAmountof sharesof shares
228
552,591
115.3
134.8
[225]
[498,679][114.5][134.3][3][53,912][198.4][139.8]
98.3
0.04

90.2
0.04

9.70

–

11.69

(4) Dealing volume of underwriting, public offering and secondary distribution
For the six months ended
September 30, 2022
(From April 1, 2022
to September 30, 2022)(Thousands of shares, Millions of yen)
For the six months ended
September 30, 2023
Year-on-year change (%)(From April 1, 2023
to September 30, 2023)

Underwriting:Stock (Number of shares)
88
59
67.4
Stock (Amount)
55
121
219.6
Bond (Face value)
150
525
350.0
Beneficiary certificates (Amount)–––
Commercial paper & foreign–––
securities (Face value)
Offering and secondary distribution
Stock (Number of shares)
93
46
49.0
Stock (Amount)
57
95
165.4
Bond (Face value)
139
508
364.2
Beneficiary certificates (Amount)
156,213
191,869
122.8
Commercial paper & foreign–––
securities (Face value)
Note: The dealing volume of offering and secondary distribution includes the amount of secondary distribution and the dealing
volume of private offering.

(5) Capital adequacy ratio(Millions of yen unless otherwise indicated)
Previous fiscal year
(As of March 31, 2023)
Basic items

Complementary items

Deductible assets
Unfixed equity capital(A) + (B) – (C)Current quarter(As of September 30, 2023)(A)
Valuation difference on available-forsale securities
Reserve for financial instruments
transaction liabilities
Total
(B)

33,82334,218

3,897

5,220

101

88

3,999

5,308

(C)

5,738

5,662

(D)

32,08433,864Market risk
1,444
1,446
Counterparty risk
304
386
Risk items
Basic risk
2,862
2,731
Total
(E)
4,611
4,564
Capital adequacy ratio (%)(D) / (E) × 100
695.7
741.9
Note: The number of treasury shares, which was to be deducted from the calculation of basic items, includes the shares of theCompany’s stock held by Custody Bank of Japan, Ltd. (Trust Account E) as trust assets for BBT and J-ESOP.

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(6) Quarterly trends of operating results(Millions of yen)
2nd quarter(Jul. 1, 2022–
Sep. 30, 2022)

Previous fiscal year
3rd quarter
4th quarter(Oct. 1, 2022–(Jan. 1, 2023–
Dec. 31, 2022) Mar. 31, 2023)

Current fiscal year
1st quarter2nd quarter(Apr. 1, 2023–(Jul. 1, 2023–
Jun. 30, 2023)
Sep. 30, 2023)

Operating revenue:
Commission received

2,581

2,311

2,371

2,952

3,051

Net trading income

466

244

376

539

294

Financial revenue

49

52

56

70

68

Other

6

6

6

6

6

3,104

2,615

2,810

3,570

3,420

Total operating revenue
Financial expenses

14

14

13

14

13

Net operating revenue

3,089

2,600

2,796

3,555

3,406

251

240

277

266

273

Personnel expenses

1,649

1,523

1,589

1,721

1,733

Real estate expenses

368

389

353

307

350

Office expenses

407

411

444

438

414

Depreciation

113

117

99

89

90

Taxes and dues

46

44

41

85

46

Other
Total selling, general and administrative
expenses

66

61

36

52

48

2,902

2,788

2,843

2,963

2,957

Operating profit (loss)

186

(187)

(46)

592

449

Non-operating income

53

160

45

175

59

Non-operating expenses

(2)

1

22

2

1

Ordinary profit (loss)

242

(28)

(23)

766

507

Extraordinary income:Reversal of reserve for financial instruments
transaction liabilities
Gain on sale of investment securities

–

–

–

9

3

–

738

106

224

–

Total extraordinary income

–

738

106

233

3

Extraordinary losses:
Provision of reserve for financial instruments
transaction liabilities
Head office relocation expenses

0

(0)

(0)

–

–

Selling, general and administrative expenses:
Trading related expenses

56

143

0

–

–

Impairment loss

–

–

–

6

–

Total extraordinary losses

56

143

0

6

–

Profit before income taxes

186

566

83

993

511

Income taxes - current

5

4

10

165

307

Income taxes - deferred

53

110

(78)

104

(118)

Total income taxes

59

114

(68)

270

189

Profit

127

451

152

723

322

- 12 -